Third-quarter profit and revenue fell at programmable-chip maker Altera ( ALTR), because of weak sales to communications and industrial markets.

The company's outlook for the current quarter was no brighter.

Net income for the third quarter ended Sept. 28 fell to $69 million, or 20 cents a share, from $87.4 million, or 24 cents a share, a year ago. Analysts polled by Thomson Financial were expecting earnings of 19 cents a share.

The company reported sales of $315.8 million, down 7% from the third quarter 2006 and down 1% from the previous quarter. It was also lower than analysts' expectations of $325.15 million.

Shares of Altera were off more than 9% to $21.18 in recent afer-hours trading.

New products grew 13% sequentially during the quarter and are now 35% of the company's overall sales.

For the fourth quarter, Altera expects to see flat to down 4% sales growth from the previous quarter, suggesting revenue in the range of $303.2 million to $315.8 million. Analysts were expecting revenue of $336.4 million and earnings of 22 cents a share.

More from Technology

Amazon, Microsoft and Google Face Backlash over ICE, Military Deals

Amazon, Microsoft and Google Face Backlash over ICE, Military Deals

As Intel Loses Its CEO, How Well Can It Compete Against Nvidia?

As Intel Loses Its CEO, How Well Can It Compete Against Nvidia?

3 Great Stock Market Sectors Millennials Should Invest In

3 Great Stock Market Sectors Millennials Should Invest In

Video: What Oprah's Content Partnership With Apple Means for the Rest of Tech

Video: What Oprah's Content Partnership With Apple Means for the Rest of Tech

3 Must Reads on the Market From TheStreet's Top Columnists

3 Must Reads on the Market From TheStreet's Top Columnists